Minister of Local Development and Acting Minister of Environment Manal Awad said Egypt aims to raise the industrial sector’s contribution to 20% of GDP by 2030, expand the share of green industries to 5%, and double industrial employment to seven million jobs. These targets align with the urgent industrial development plan launched by the President in August 2024.
Awad noted that Egypt is witnessing accelerated growth across key manufacturing segments, including textiles, food industries, cement, petrochemicals, steel and automotive assembly. The plan seeks to raise the industrial share of GDP from 14% to 20% and increase industrial employment from 3.7 million to 7 million by the end of the decade.
Global Challenges Constraining Industrial Progress
Awad underlined that developing countries face significant obstacles in advancing inclusive and sustainable industrial development. International and regional conflicts, she said, have disrupted supply chains and triggered sharp increases in global prices. Financing industrial expansion has become increasingly difficult amid rising external debt burdens, while growing protectionist policies in global markets are constraining export opportunities.
She also pointed to the technological gap that continues to limit efficiency and competitiveness in developing economies, in addition to the severe impacts of climate change. Awad made her remarks during the general debate of the 21st session of the United Nations Industrial Development Organization (UNIDO) General Conference, held in Riyadh from 23 to 27 November under the theme: “The Power of Investment and Partnerships to Accelerate Sustainable Development.”
Egypt–UNIDO Partnership Expands to $61m
Awad reaffirmed that Egypt aligns itself with the statements delivered on behalf of the Group of 77 and China, the African Group and the Arab Group. She emphasised the essential role UNIDO plays in supporting developing countries in achieving industrial progress.
She highlighted the strength of Egypt’s longstanding partnership with UNIDO, which has expanded significantly under Director-General Gerd Müller. She said twenty-one projects worth more than $61m are currently under implementation in Egypt, with additional initiatives in preparation. Awad added that Egypt is eager to accelerate the completion of ongoing projects and explore new financing mechanisms under the Country Partnership Programme signed in 2021, which directly supports the national development agenda Egypt Vision 2030.
Seven Pillars of Egypt’s Comprehensive Industrial Plan
Awad explained that the national industrial development plan is built on seven interlinked pillars covering the deepening of local manufacturing, expanding industrial exports, revitalising idle factories, improving product quality, increasing employment in production sectors, strengthening workforce training and development, and advancing both digital and green industries. She said these areas together form the backbone of the country’s strategy to enhance productivity, competitiveness and long-term industrial sustainability.
Priority Areas for Future Cooperation with UNIDO
The minister highlighted Egypt’s interest in strengthening its collaboration with UNIDO in several technical and strategic areas. These include mitigating the impacts of climate-related trade restrictions such as carbon border taxes, enhancing the competitiveness of micro, small and medium enterprises, and improving their integration into global supply chains. She also stressed the importance of expanding access to concessional finance and advancing the adoption of emerging technologies, including artificial intelligence, within the manufacturing sector.
Awad added that Egypt seeks broader cooperation in the fields of green hydrogen, circular-economy practices, plastic waste management and vocational training. She emphasised that upgrading the national skills base is essential to ensure that the workforce meets the evolving demands of modern industry.
She welcomed UNIDO’s Medium-Term Programme Framework for 2026–2029, noting that its priorities—strengthening supply chains, supporting food security and advancing climate action—align closely with Egypt’s development agenda. She also confirmed Egypt’s approval of UNIDO’s proposed 2026–2027 budget.
Supporting Africa’s Industrial Agenda and Women in Industry
Awad urged UNIDO to accord greater attention to industrial development in Africa and ensure that its programmes align with the African Union’s policies and development institutions. She welcomed the proposal to launch the Fourth Industrial Development Decade for Africa and affirmed Egypt’s readiness to support UNIDO’s mandate across the continent, particularly through trilateral cooperation mechanisms that she said deliver added value to all partners involved.
She also praised UNIDO’s efforts to empower women in industry and welcomed the projects being implemented in Egypt in this field. Awad reiterated Egypt’s support for designating 21 April as the International Day for Women in Industry, underscoring the vital role women play in the global industrial landscape.
The minister expressed pride in the confidence shown by member states through their support for the re-election of the Central Auditing Organization (CAO) as UNIDO’s external auditor. She commended the professional cooperation between the CAO and the UNIDO Secretariat, which she said ensures transparent and reliable auditing in accordance with international standards.
Call for Reconstruction Support in Gaza
Awad concluded her address by drawing attention to the situation in the occupied Palestinian territories, noting that Gaza’s industrial, agricultural and service sectors have been devastated over the past two years, leading to the collapse of its entire infrastructure.
She stressed that, following Egypt’s efforts with international partners to halt the war, host the Sharm El-Sheikh Peace Summit and support the adoption of the UN Security Council resolution, the country is now focused on mobilising global support for the Arab-Islamic plan for early recovery and reconstruction of Gaza. The plan was endorsed by the Arab Summit and supported by Islamic nations last March.
Awad called on UNIDO to mobilise the necessary financial resources to contribute to rebuilding Gaza’s industrial infrastructure and urged development partners worldwide to support these efforts.
